Best Practices for Financial Advisors: The Law of Contact Management - Home

Best Practices for Financial Advisors: The Law of Contact Management

The most successful financial advisors have one thing in common: they implement the most best practices.  

What exactly is a best practice?  Wikipedia defines a best practice as “a technique, method, process, or activity believed to be more effective at delivering a particular outcome than any other technique, method, process, etc.”  

The Bill Good Marketing System is built on over 200 best practices.  You read that right.  And while all are important, there is one that stands above all the others:

Every contact – or attempted contact – you make with a client or prospect MUST result in an updated record. 

Subscribers to the Bill Good Marketing System know that this is no mere suggestion – it’s THE LAW.  All advisors should follow it without fail.

The Law of Contact Management

What does The Law mean?  It means that if you call and speak with a client, you document it.  It also means that if you call and only get voicemail, you still document it.  The same goes for every other team member in your office.  The Law of Contact Management

What’s more, you should store all this documentation in whatever CRM software you’re using, backup your data frequently, and store your backup in a secure (and preferably offsite) location.  This is the essence of good contact management. 

An email I recently got from a long-time client illustrates the reason for this:

Bill, it was nearly 25 years ago that I came to Utah for my first session of training with BGM. I was brand new in the business.

But I was persistent and learned from you how to prospect, service, and take care of my business from the ground floor up. One of the most important things you taught was to follow THE LAW by documenting every conversation we had with every client and prospect we spoke with. You told us to do it.  I was paying you to tell me how to run my business, so I did it. Good contact management became one of the standards of my daily operations.

Last year, I had a client file a complaint against me. We believed it to be malicious and a vengeance complaint as I had recently terminated their relative’s employment, but FINRA didn’t care. My firm wanted me to settle in mediation, but I knew we had done nothing wrong. The case was sent to arbitration where the plaintiff’s attorney pled their case. In an unexpected move, the arbitrator dismissed the case, in large part due to the copious notes we had recorded each and every time we had a conversation with the client. The expert, who was hired by my counsel to testify, also stated that he had never seen such a well-documented set of back up.

I know that your business has always been centered around doubling your production or working half as much, which I have done many times, but, the documentation and contact management lessons learned from the first time that we met were priceless. So for that I would like to send you a resounding THANKYOUVERYMUCH!!!!!  Let’s talk soon.


Following The Law of Contact Management is all about protecting your business.  

But this particular best practice does more than that.  It can also help you grow your business.  

How documenting every contact can help you grow your business

To give you an example, here’s one of the best record updates I’ve ever seen from a financial advisor: 

Spoke with Bob this morning. Asked him how he was doing, and he said he was excited because he was about to attend his daughter’s college graduation.

We discussed some of the muni bonds I had emailed him about. He wasn’t sure if he wanted to do anything at the moment, but I reminded him that the last time we met, he said he was worried about income. He said that was a good point and we agreed on the Jackson bond.

That reminded him of an article he read online about Social Security. He was pessimistic about whether his benefits would really make that much of an impact on his retirement. I told him that there were several things he could do about his benefits, and promised to send him some information on the subject. He was very appreciative.

Just in passing, I asked him before the end of the call when he was going fishing next. He said he was going sometime in a week or two. I asked him who he usually goes fishing with.  He has a church buddy named Graham who’s even crazier about fishing than he is.  I told him I was thinking about hosting a small event for all my clients who like fishing at the local Bass Pro shop, and asked whether he thought Graham would like to come.  Bob said definitely.

Told him I’d have my assistant call in a week to see if he had any questions on the Social Security info I was sending him.

A bit longer than your average note, perhaps, but it’s chock-full of wonderful information. Specifically, check out the bolded passages.

You see, a good record update doesn’t just document what happened. It should also help you:

  1. Generate goodwill
  2. Advance a sale
  3. Enhance your expert financial advisor identity
  4. Perform relationship mapping

In this case:

  • By finding out that Bob’s daughter is graduating from college, the advisor can send a Congratulations letter to both the client and the daughter. This creates goodwill.
  • The advisor advanced the sale of the bond he was recommending by documenting Bob’s worry about income in the previous record update.
  • Bob’s questions about Social Security means the advisor can now track that subject as an Interest in the client’s Sales Profile. Furthermore, by sending follow-up information, the advisor enhances his expert financial advisor identity.
  • By asking questions about Bob’s hobbies, and by documenting the answers, the advisor now knows the name of Bob’s friend, who he can then invite to future events.  This is a great example of relationship mapping.

As you can see, this particular best practice is not just about protecting your business.  It’s about growing your business.  

How Bill Good Marketing Can Help

  • Our Gorilla CRM software enables you to easily and accurately keep records on who you’ve met with, spoken to, or attempted to contact…and then actually use the data to generate sales opportunities.
  • Our customizable RUF (Record Update Form) makes documenting each contact or attempted contact an absolute breeze.
  • Our “Remote Computer Operator Program” provides advisors with fully-trained Computer Operators who can take your contact management to the next level.
  • The BGM Letters Library contains hundreds of Goodwill and Sales messages you can send to a client or prospect after every conversation.  For example, if your client’s daughter is graduating, we have a letter for that.  If you need to send follow-up info on Social Security, we have that too.  

To be one of the top advisors in the industry, you must implement as many best practices as possible.  You need to follow The Law.  So remember:

Every contact – or attempted contact – you make with a client or prospect MUST result in an updated record. 

Want to start following The Law?  Curious to see how we can help?  Call Jill Webster at 888-495-7303.  She’ll send you a FREE copy of my white paper, How to Save Your Business through Better Contact Management.

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